Loans and High Yield

Europe’s bond market has been a tricky place for corporate issuers this week, with volatile interest rates making investors reluctant to buy new paper.

The dim sum bond market is set to welcome a new name with technology giant Lenovo Group opening books to an up to Rmb3.5bn ($574m) offering on June 3.

China Three Gorges Corp (CTG) has opened books for what will be its first outing to the international bond market, marketing a dual tranche offering in dollars and euros on June 3. Joining CTG in the market is Beijing Construction Engineering Group (BCEG), which started taking bids for its debut dollar bond.

Sivantos, the renamed spinoff of Siemens Audiology Solutions, has launched a repricing of a €785m leveraged loan backing its buyout by EQT, which closed last December.

Moody’s is expecting an upturn in fortunes for the Chinese property sector as the effects of supportive monetary and regulatory policies implemented by China since the second half of 2014 start to gather momentum.

European high yield credit has lost a key market-making banker, say sources, as Goldman Sachs has moved a big name trader to its distressed business.

Europcar began premarketing its IPO on Monday, seeking to raise €475m of primary proceeds to cut a €2.2bn debt load, as well as some secondary proceeds to be decided later.

While liquidity in all markets is worse than it was pre-crisis, high yield bonds have seen the smallest downturn – and liquidity has picked up since 2012, according to research from JP Morgan.

Valeo Foods, the Irish food producer, has closed books on a €595m loan to finance its acquisition of Balconi and refinance debt.

Optimal Payments, the Isle of Man-based secure payments provider, has repriced the financing for its acquisition of Skrill, before closing the deal, and replaced amortising loans with a bullet facility.

After a five week trip, the Loan Ranger is back and has been in detox. The hallucinations have finally worn off. How has everyone been and what has he missed?

A $100m loan for Indomobil Finance Indonesia, which launched into general syndication on April 14, has seen commitments of 1.6x in general syndication. Banks that missed out on participating in the company’s last deal are eager to get a piece this time, driving up the numbers.